A policyowner-insured becomes totally disabled at age 42 and the disability continues for the required elimination period. Under a standard 'Waiver of Premium' rider, the insurer will:

Explanation

A Waiver of Premium rider (governed in California by Insurance Code §10170 and the policy form filed with the CDI) is a disability income benefit attached to a life policy. When the insured-policyowner becomes totally disabled (as defined in the rider) for longer than the elimination period (commonly 4-6 months), the INSURER pays the policy's required premiums on the policyowner's behalf, keeping the contract fully in force, including continued cash value growth, dividend accrual, and the right to keep all riders. When the insured recovers, the policyowner resumes premium payments. Refunding all premiums paid since issue and then carrying the coverage free is wrong; prior premiums are not refunded. Suspending the policy during the disability and adding the missed premiums back afterward as an interest-bearing loan is wrong; the policy stays in force, it is not suspended. And converting the contract immediately to a paid-up endowment for a reduced face amount confuses the rider with a reduced-paid-up nonforfeiture election. The rider's value lies in preserving coverage exactly when the insured can least afford to pay.